Investor Optimism Declines Ahead Of Fed Chair Powell's Testimony

The CNN Money Fear and Greed index showed some decline in overall sentiment among US investors.

The Dow edged higher on Monday, after recording sharp gains in the previous week. However, the Nasdaq Composite settled slightly lower during the session.

Apple Inc. AAPL shares rose around 1.9% on Monday after Goldman Sachs initiated coverage on the stock with a Buy rating and announced a $199 price target.

Investors are now awaiting Federal Reserve Chair Jerome Powell’s testimony, scheduled for Tuesday and Wednesday.

The Dow closed higher by around 40 points to 33,431.44 on Monday. The S&P 500 rose 0.07% to 4,048.42, while the Nasdaq Composite fell 0.11% to settle at 11,675.74 during the session.

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Investors are awaiting earnings results from Thor Industries, Inc. THO, Dick's Sporting Goods, Inc. DKS and Casey's General Stores, Inc. CASY today.

At a current reading of 54.0, the index remained in the "Neutral" zone, compared to a previous reading of 55.0.

What is CNN Business Fear & Greed Index?

The Fear & Greed Index is a measure of the current market sentiment. It is based on the premise that higher fear exerts pressure on stock prices, while higher greed has the opposite effect. The index is calculated based on seven equal-weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greediness.

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